If you’re looking to travel more while spending less, credit card rewards can be your secret weapon. But navigating the world of points, miles and welcome bonuses can feel overwhelming at first. This guide will help you on your journey to smart travel rewards.

Understanding the Basics

Credit Score Requirements

Before diving into travel rewards cards, you’ll need a good to excellent credit score. Most premium travel rewards cards require scores of 720+. If your score isn’t there yet, focus on paying your cards off in full every month and never, EVER spend money you don’t have sitting in your bank account. One missed payment can set you back for months.

Why Welcome Bonuses Matter

Welcome bonuses are crucial because they provide the biggest point boost you’ll ever get from a card. Here’s why:

• Typical welcome bonuses range from 50,000 to 100,000+ points
• Through regular spending, you might earn 1-3 points per dollar
• Example: A 60,000-point welcome bonus equals $20,000-$60,000 of regular spending

Apply for cards when you know you will have a large upcoming spend. I waited until my annual home, auto and medical insurance premiums were due. Being strategic about earning the welcome bonus will help you not just spend for spending sake.

Key Fees to Consider

Annual Fees

• Range from $0 to $695
• Premium cards ($450+) often include:
  • Airport lounge access
  • Travel credits
  • Hotel status
  • Trip insurance
• Calculate if the benefits outweigh the cost for your travel style

Foreign Transaction Fees

• Usually 1-3% of each purchase abroad
• Good travel cards have $0 foreign transaction fees
• Can save hundreds on international trips

Common Mistakes to Avoid

Missing the Welcome Bonus

• Track your spending progress
• Set calendar reminders for deadline
• Consider prepaying bills or wait on annual premiums

Carrying a Balance

• Interest charges negate point value
• Always pay full statement balance
• Don’t view points as an excuse to overspend

Ignoring Annual Fee Due Dates

• Mark renewal dates on digital calendar
• Evaluate card value annually
• Consider downgrading if benefits aren’t worth it

Advanced Tips

Maximise Point Values

• Transfer points to airline/hotel partners (card issuers are notorious for changing point structure)
• Look for transfer bonuses and book during off-peak times
• Use points for business/first class flights or hotel suites

Stack Rewards

• Use shopping portals (they usually give an extra percentage savings)
• Join airline/hotel loyalty programs
• Look for targeted offers (sometimes you can buy points for 100% bonus)

Now it’s Time to Take Action:

1. Check your credit score
2. Research cards matching your score (don’t use your friend’s credit card strategy)
3. Calculate your monthly spending
4. Choose a card with attainable minimum spend
5. Track welcome bonus deadline
6. Learn your card’s bonus categories
7. Start planning your first reward trip!

Credit card rewards are most valuable when earned through normal spending. Never carry a balance or spend extra just to earn points. With careful planning and responsible use, travel rewards cards can help fund amazing adventures for little to no additional spend. Thanks for reading and keep Enjoying the Journey.